SFS drops an additional payment against the bank worth over UAH 28 mn

Subject of complaint: Large Taxpayer’s Office (LTO) of the State Fiscal Service of Ukraine
Complaint in brief: On May 23, 2018, the Council received a complaint from an international bank, which did not agree with the LTO tax inspections conclusions
 
Based on the company’s activities analysis for 2011-2017 the tax authority found a number of tax and currency law violations. In particular, the LTO pointed to transactions regarding which, in its opinion, the company had to pay a military fee and an individual income tax. In addition, it was subject to fines and penalties – totally worth over UAH 28 mn. 
 
The Bank appealed the tax authority decision and turned to the Council. 
 
Actions taken: The BOC investigator studied case materials thoroughly and supported the bank’s position. The investigator requested the SFS to consider the bank’s case impartially. 
 
Result achieved: With the Council’s involvement, the tax authority accepted the Complainant’s arguments and dropped 99.5% of additional tax payments. The case was successfully closed.